The following information relates to Sydney Ltd.'s expenses and profits for the year ended 30 June 2019. Assuming the company tax rate is 30%.

• Accounting Profit before tax$210 000

The accounting profit above has considered the following expenses:

• Depreciation of plant and equipment$18 000
• Long service leave expense8 000
• Doubtful debts expense5 000
• Goodwill impairment2 000

Additional information:

• Tax depreciation allowed on plant and equipment is $20 500
• Amounts paid during the year for long service leave amounted to $3 500.
• Bad debts written off during the year amounted to $1 500.

Required: Calculate thetaxable incomeand thecurrent tax liabilityfor the year ended 30 June 2019 for Sydney Ltd by reconciling accounting profit to tax profit. Also provide a journal entry for the current tax liability. Narrations arenotrequired. Show workings